Which of the Following Are True Regarding Long-Run Pricing Decisions

question 98

Multiple Choice

Which of the following are true regarding long-run pricing decisions?

• A) they result in maximizing return on investment
• B) they include adjusting product mix in a competitive environment
• C) the price needs to be sufficient enough to break-even
• D) use prices that include a reasonable return on invested capital

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Definitions:

Capital Contribution

Money, property, or other assets contributed to a company or partnership by its owners or partners to support its operations.

Limited Partner

An investor in a limited partnership who is not involved in daily business operations and whose liability is limited to the amount they invested in the partnership.

General Partners

Individuals who participate in the management of a partnership and have unlimited liability for its debts.

Securities Fraud

A type of serious white-collar crime that involves deceiving investors or manipulating financial markets.